CPE News (6/29/2021) – LifeSpeak Inc. has priced its initial public offering (IPO) of common shares. LifeSpeak will issue 12,500,000 common shares, of which 9,000,000 are being issued in the treasury offering and 3,500,000 are being sold by the selling shareholders in the Secondary Offering, at $10 per share for aggregate gross proceeds of $125 million.
LifeSpeak previously anticipated to issue shares priced between $9.00 and $12.00 per share.
The selling shareholders include 25th Mile Capital Partners Inc., Michael McKenna, 451484 Ontario Inc., Evoke Solutions Incorporated, Grasshopper Holdings LP, Kensington LS Fund L.P., Krista Mussell, McLean Management Advisory Inc., Michael Held, Michael Held Family Trust, Michael Vanderkaden, NBFT Capital LP, Nolan Bederman, Nolan Bederman Family Trust, Round 13 Growth 2020 L.P., Roynat Capital Inc. and 2838091 Ontario Inc.
The selling shareholders have granted to the underwriters an over-allotment option for an additional 1,875,000 common shares (representing 15% of the aggregate number of offered shares sold in the the base offering) at the offering price, for additional gross proceeds of $18.75 million to the selling shareholders.
Upon completion of offering, LifeSpeak will have 47,592,298 common shares will be issued and outstanding, effectively valuing the company at $475.9 million at the offering price.
| Selling Shareholders | Pre-IPO Shares Owned | Immediately following the closing (without giving effect to the exercise of the over-allotment option) (%) | Immediately following the closing (assuming over-allotment option is exercised in full) (%) |
| Grasshopper Holdings LP | 8,545,350 | 7,757,526 (16.3%) | 7,335,477 (15.4%) |
| Michael Held | 1,121,429 | 1,018,041 (2.1%) | 962,655 (2.0%) |
| Michael Held Family Trust | 407,862 | 370,260 (0.8%) | 350,116 0.7% |
| Krista Mussell | 167,863 | 152,388 (0.3%) | 144,098 (0.3%) |
| Round 13 Growth 2020 L.P. | 5,812,084 | 5,276,248 (11.1%) | 4,989,193 (10.5%) |
| NBFT Capital LP | 3,864,804 | 3,508,494 (7.4%) | 3,317,614 (7.0%) |
| Nolan Bederman | 952,339 | 864,540 (1.8%) | 817,505 (1.7%) |
| Nolan Bederman Family Trust | 336,855 | 305,800 (0.6%) | 289,163 (0.6%) |
| Kensington LS Fund L.P. | 4,520,510 | 4,103,749 (8.6%) | 3,880,484 (8.2%) |
| Roynat Capital Inc. | 3,228,936 | 2,931,249 (6.2%) | 2,771,774 (5.8%) |
| 451484 Ontario Inc. | 3,307,871 | 3,002,907 (6.3%) | 2,839,533 (6.0%) |
| Michael Vanderkaden | 2,485,242 | 2,256,119 (4.7%) | 2,133,374 (4.5%) |
| McLean Management Advisory Inc. | 1,233,087 | 1,119,404 (2.4%) | 1,058,502 (2.2%) |
| Evoke Solutions Incorporated | 878,271 | 797,301 (1.7%) | 753,924 (1.6%) |
| Michael McKenna | 476,169 | 432,270 (0.9%) | 408,753 (0.9%) |
| 2838091 Ontario Inc. | 116,185 | 64,514 (0.1%) | 36,834 (0.1%) |
| 25th Mile Capital Partners Inc. | 64,578 | 58,625 (0.1%) | 55,436 (0.1%) |
Founded by Michael Held, LifeSpeak is a leading software-as-a-service (SaaS) provider of digital mental health and total well-being education for mid- and enterprise sized organizations. LifeSpeak said it serves over 225 diverse clients globally, including Fortune 500 companies, government agencies, insurance providers and other health technology firms.
LifeSpeak has approximately 50 employees mainly working remotely. Besides its Toronto personnel, LifeSpeak has “team members” in Montreal, Vancouver, California, Texas, Nebraska, Illinois, North Carolina, South Carolina and sales resources in Ireland and Israel.
photo credit: LifeSpeak